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9 November, 12:22

In a certain city, the government is considering acquiring some land and turning it into a park (without any fences or gates). In an attempt to determine the extent to which residents of the city would value the park, residents are asked to fill out a questionnaire. Which of the following is correct?

a. On the questionnaire, some residents are likely to exaggerate the value they associate with the park.

b. On the questionnaire, some residents are likely to exaggerate the costs they associate with the park.

c. The use of such a questionnaire in cost-benefit analysis is likely to produce only rough approximations of residents' perceptions of the costs and benefits of a park.

d. All of the above are correct.

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  1. 9 November, 15:41
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    Answer: d) All of the above are correct.

    Explanation:

    According to the question, if government plans about constructing park, then resident's review and response towards the park through questionnaire can give approximation about cost and benefit components as per residents thought, expressing association of them in terms of cost and value of park.

    All the options are correct because residents will base their answers on questionnaire as per value of park, cost of park and providing cost benefit analysis through views of residents. Thus, the correct option is option (d).
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